14:57 | 29/12/2015 Finance - Banking
The State Bank of Vietnam (SBV) governor has approved Thailand's Siam Commercial Bank Pcl's (SCB) plan to open a branch in Ho Chi Minh City.
Thailand bank Siam Commercial Bank PCL will open a branch in Ho Chi Minh City. (Photo: scb.co.th)
The SCB branch will operate with a capital of 25 million USD for a period of 99 years, and will carry out activities as prescribed by the SBV, such as receiving deposits and giving credit, as well as offering domestic payment services.
The investment arm of the Thai royal family's Crown Property Bureau owns 21.3 percent of SCB, Thailand's third largest lender.
After opening its new branch in Vietnam, SCB will have 11 foreign branches and representative offices in eight countries.
The Thai lender has been operating in Vietnam for more than 20 years via Vinasiam Bank, in which it holds a 33 percent stake.
The SCB is not the only Thai bank that has shown interest in Vietnam. In March, Kasikorn Bank became the first Thai bank to open two representative offices in the country./.